The California rental market continues to evolve—are you keeping up? Whether you own a single home or 100 doors, here are 5 trends that will impact property owners across the state in 2025.
1. π Higher Tenant Turnover Rates in Urban Cores
As remote work remains common, some tenants are leaving expensive cities like SF and LA for affordable inland cities like Fresno, Stockton, and Sacramento. Landlords in urban areas may need to offer incentives or flexible leases.
2. π² Tech-First Renters Demand Digital Tools
Today’s tenants expect:
Online rent payments
Mobile maintenance requests
Virtual tours before in-person showings
Landlords who embrace tech will fill vacancies faster.
3. π° Steady Rent Growth in Secondary Markets
Cities like Vallejo, Riverside, and Bakersfield are seeing rent increases as demand shifts. If you’re investing or pricing units, keep an eye on these expanding zones.
4. ποΈ ADUs Are On the Rise
Accessory Dwelling Units (ADUs) are booming thanks to relaxed zoning laws. Many homeowners are turning garages or backyard units into rentals.
5. π‘οΈ Legal Complexity Is Increasing
With tenant protection laws evolving rapidly (e.g., rent caps, eviction moratoriums), professional property management is more important than ever for compliance and peace of mind.